The release of Switch 2 and GTA 6 later this year is expected to boost games industry revenue to a record $92.7bn by 2027, a new report claims.
Between 2024 and 2027, that would be a growth in PC market share of 2.6 percent and console growth of 7.0 percent, according to games market intelligence firm Newzoo.
Following a boost from $67.6bn in 2019 to $80.9bn in 2020 due to the Covid-19 pandemic, industry revenue has stagnated. Yet that’s set to rise from $80.2bn in 2024 to $85.2bn this year, and continue in a positive direction.
Console game sales are expected to rebound in 2025, carried by GTA 6, while Switch 2’s release will boost both hardware and software. PC growth, meanwhile, is focused on in-game revenue from mature and free-to-play games.
Newzoo states the absence of major technical, content, or distribution innovation has precluded higher player growth this decade.
As with last year’s annual PC and Console Gaming Report from Newzoo, older games dominate playtime. From January 2021 to December 2024, around 10 games consistently made up 50 percent of all playtime across all platforms: the likes of Fortnite, Roblox, Minecraft, GTA 5, Apex Legends, and Call of Duty.
Fortnite alone accounted for 9.3 percent of total playtime in 2024, up from 9.1 percent in 2023.
The report notes that new games on PC struggle to capture playtime share from established games, while those older games are leaning on nostalgia to retain players both short- and long-term. Fortnite achieved this with the return of its OG map, which the likes of PUBG and Call of Duty have imitated.
Newer games are more popular on console, with PlayStation featuring the highest playtime rates for recent games. That said, across all consoles, new game hours are dominated by annual franchises like EA Sports FC and Call of Duty.
The study also investigated whether players are playing fewer games and found the proportion of players engaging with three games or fewer has generally increased across all platforms.
Steam users are more likely to play a larger quantity of games, though this is skewed by a greater number of less expensive indie and AA games. Over on PlayStation, indie and AA games make up less than 12 percent of games played as big AAA releases dominate. On Xbox and its Game Pass subscription, indies and AA fare better, but players overwhelmingly still prefer AAA games.
As players focus on fewer games, this means existing live-service games have more difficulty attracting new players, while premium games struggle to hit sales targets, the report suggests.
Of course, while the boost to the industry is welcome, part of the growth from Switch 2 and GTA 6 isn’t just from sales numbers but the increase in game prices too.
Switch 2 launch game Mario Kart World will cost £75, though Nintendo has since stated this won’t “set a benchmark” for future releases. The Switch 2 editions of original Switch games, meanwhile, will come in at £65.
As for GTA 6, the price is yet to be determined, but reports have suggested it could cost £80 on its release.
